RAWALPINDI: RCB, former members at loggerheads: Property tax issue

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RAWALPINDI,  May 18: The rift between the management and  the ex-members of the Rawalpindi Cantonment Board over the property tax is widening, as the two sides have prepared different formulas for the solution of the issue.

The RCB management had increased the property tax several times without consulting the ex-members. The increase had been made to compensate the loss running into millions as a result of the tax exemption given  to  the retired  and  serving  army personnel. Later, the facility was dropped after protests staged against it by the ex-members.

According  to the management formula, the  cantonment areas  have been divided into four main categories i.e; A,B,C and D. Each  one  has been further  divided  into  four  sub-categories.

In category A, single-storey houses, covering an  area of more than 10  marla situated at road less than 12 feet in width, will be taxed  at  the rate  of Rs2,500 per marla whereas houses with the same area  but at a road more than 12 feet in width, will have to pay Rs3,000 per marla.  

Double-storey  houses, covering an area of more than 10 marla at a road less than 12 feet in width, will  have to  pay  Rs3,000 per marla while such double-storey  houses, situated at a road more than 12 feet in width, will be taxed as Rs 4000 per marla.   In  the third sub-category, single-storey houses under 10 marla at a road less than 12 feet in width, will have to pay at the rate of  Rs2,000  per marla  whereas  such houses situated at a road more than 12-feet in width will have to pay Rs2,500  per marla.  

The double-storey houses, covering less than 10  marla area at a road less than 12 foot in width will be taxed Rs2,500 per marla while  the houses situated at a road more than 12 feet in width, will taxed at the rate of Rs3,500 per marla.

Similarly,  in  category B, single-storey houses, covering an area more than  10 marla situated at a road less than 12 feet in width, will be taxed at the rate  of  Rs2,200  per marla whereas those situated at a road more than 12 feet in width will be taxed at Rs2,500 per marla. Similarly, the double-storey houses will be taxed at the rate of Rs2,800 per marla  and Rs3,800 per marla respectively.

The single-storey houses, covering an area of less than 10 marla and situated at a road less than 12 feet in width, will have to pay Rs1,800 per marla whereas those  situated at a road more than 12 feet in width will have to pay Rs 2,200 per marla. The double-storey  houses of the same category will be taxed Rs2,200 per marla and 3,000  per  marla respectively.

Similarly, the C-category houses will be taxed Rs2,000 to 3,500 per  marla while in D-Category, rates of property tax fall from Rs500 per marla to Rs1,400 per marla.

On  the other hand, the formula presented by the  ex-members has three categories, which have been divided into two  more sub-categories  and  each one of them has further  been divided into three classes.

In the posh areas, the members propose Rs12,000 tax for a house having a covered area of more than one canal, Rs6,000 for 10-marla houses and Rs3,000 for five marla houses.

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